Why Innovation Fails in Established Organizations

Scrooge’s analysis of what the spirits in Dickens’ novel showed him, and his subsequent transformation to becoming “as good a man as the good old city knew” demonstrate how invaluable understanding the past can be to those charting their own course to a better future. People who have previously attempted to nurture innovation and bring new ideas to life in established organizations have encountered a myriad of setbacks and roadblocks. Understanding those shadows of the past before you begin will enable you to select, design, and deploy the initiative that will drive the most value for its participants, and your organization, in your future. This chapter describes the many reasons established organizations struggle to bring new ideas to life, especially those that are novel. It breaks each reason down and includes new case studies that demonstrate why organizations fail to innovate.